Redefining Credibility in African Reinsurance
In global reinsurance, credit ratings are the currency of trust. For cedants, especially those guided by multilateral development banks, global lenders, and project financiers, a strong financial strength rating from agencies such as S&P, Moody’s, or AM Best is often seen as the entry ticket, writes Adelaide Ndlovu; Facultative Account Executive.
While these ratings aim to promote transparency and discipline, they have also created structural barriers that limit many African reinsurers from participating in African risks. Despite being well-capitalised, prudently managed, and consistently profitable, African reinsurers are often constrained not by their own fundamentals, but by the sovereign ratings of their home countries.
In many cases, international rating models cap a reinsurer’s score at or below the country’s credit ceiling - even when the reinsurer demonstrates strong solvency margins, sound governance, and robust capital buffers. The strength is there, but it is not always visible through the global rating lens.
Seeing Beyond the Rating Label
At Maksure Risk Solutions, we view this not as a limitation; but as an opportunity to redefine credibility and unlock Africa’s reinsurance potential.
Through our S&P Performance Test, we provide independent, data-driven assessments that highlight the real financial resilience and technical capabilities of African reinsurers. Our goal is to help cedants, lenders, and project financiers see beyond the rating label and recognise the depth of regional capacity already thriving across the continent.
Our Assessment Approach
Maksure’s reinsurance team conducts a comprehensive financial and technical review of both rated and unrated reinsurers, using globally recognised frameworks such as S&P’s capital adequacy and financial soundness models, says Adelaide.
Each reinsurer is independently evaluated across key dimensions, including:
- Capital adequacy and solvency margins
- Liquidity and reserve strength
- Underwriting profitability and claims experience
- Retrocession structure and risk diversification
- Governance and risk management
This process delivers objective, evidence-based insights into the financial stability and operational reliability of African reinsurers. By showcasing measurable strength and disciplined performance, we provide the financial and technical confidence that global stakeholders require.
Empowering Africa’s Reinsurance Future
Our mission is to position African reinsurers credibly and competitively, enabling them to participate meaningfully in both regional and international placements.
Ultimately, Maksure’s work supports a sustainable, self-reliant African reinsurance ecosystem - one that retains more premiums locally, fuels regional growth, and delivers better outcomes for all stakeholders.
Adelaide is a Facultative Account Executive at Maksure Risk Solutions.
Contact our team on Tel: 011 805 0086 or email info@maksure.co.za
About Maksure Risk Solutions
Maksure Risk Solutions is an Afro-Global independent specialist insurance and reinsurance broker with business footprint in Africa, Asia, East & Western Europe, South America and the Caribbean. We provide innovative and tailor-made risk solutions in Insurance and Reinsurance as well as Risk Financing and Actuarial Consulting geared towards capital management and strengthening our client’s balance sheet. Maksure is also one of the major players in Captive Management (Establishment & Management) in South Africa, Mauritius, Bermuda and various other jurisdictions. We have access into the Lloyds of London with a deep understanding of African markets. Our global nature ensures that our clients access quality capacity as well as some of the world’s latest thinking and solutions.
